IOI Group - Critics

Critics

See also: Oil palm

IOI is a co-founder of the Roundtable on Sustainable Palm Oil (RSPO) and has played an active role in shaping the scheme. The company has several of its estates in Malaysia certified as complying with the RSPO standard. According to the Friends of the Earth in March 2010 IOI Corporation failed to live up to its green claims of policy. For example:

  • Plantation development took place in forestlands without approval of the Ministry of Forestry in conflict with the Indonesian legislation
  • Plantation development took place without approved Environmental Impact Assessments
  • Fraudulent statements were made
  • Encroachment has taken place in forests and peat lands
  • There is significant increase in fire hot spots
  • Corporate claim not to use peat land but to circumvent the issue it does not consider coastal or shallow peat as peatland.
  • Corporate claim not to use ’burning policy'. According to the Fire Information for Management System (FIRMS) there were a significant increase in the number of hot spots after land clearing activity start in 2009.
  • IOI’s current land development activities may trigger significant land conflicts.

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